5.12 and 7.22 were updated to clarify our policy regarding the soft pull credit refresh requirement. We do require a tri-merge/three bureau soft pull credit refresh, dated within ten days of the note date, or evidence of enrollment in a credit monitoring service through this time period.
In 5.15, we introduced a relaxed policy regarding borrowers without a housing history in the 620–639 range. Previously, borrowers in this category could not exceed a 43% backend ratio. Now, borrowers can go up to 45% on the backend.
In 5.17, we amended our LOE requirement for borrowers with no present housing payment. Now, in place of the LOE, we allow a VOR. For borrowers with a housing payment in the FICO range of 620–639, we will also require a VOR.
5.27 now has a clarification regarding our LTV policy. Borrowers may increase their minimum required investment (down payment) by putting down additional funds above and beyond the assistance received from Chenoa Fund as long as the loan-to-value ratio does not go below 90%.
In 5.28, an overlay was removed. In version 8.2 of this Guide, DACA recipients were not considered eligible for our conventional products. Now, DACA recipients are allowed on conventional products, per CBCMA’s interpretation of FNMA guidelines—this was updated for consistency. Even so, CBCMA relies on our correspondent partners to document lawful residency in accordance with FNMA and FHA guidance.
7.20 now has a link to the principal reduction form provided by CBCMA.
7.22 now includes another item on the “Documentation – General Requirements” list: the Closing Protection Letter. While the Closing Protection Letter was not included on the list previously, it was still a required document.
8.3now emphasizes that loans must be current at the time of purpose.
8.8.1 was clarified, and now emphasizes that the down payment assistance funds must be identified as coming from “CBC Mortgage Agency 2nd Lien.”
In 10.3, it was updated that, effective immediately, both holder and servicing rights need to be transferred to CBCMA in FHA Connection immediately upon sale of the loan to CBCMA. Previously, only holder rights were required to be transferred to CBCMA in FHAC. As CBCMA is now an authorized servicer in FHAC, we will require that the servicing rights be transferred as well.
CBC Mortgage Agency On The Road
They say February is the border between Winter and Spring, and for us… it’s the border between tax refunds and homebuyer season... we can’t wait! Things are starting to ramp up for the busy season, and our trips across the country have been nothing short of incredible these past few weeks.
Celebrating Black History Month in a Historic Way:
On February 18th, 2020, CBC Mortgage Agency’s UHOUSI initiative hosted its 2nd event of the year and circled around Black History month and homeownership. With over 200 people in attendance, Dr. Alveda C King Bishop and Bishop Harry R Jackson delivered messages of hope and celebration. See one of our own, Emenyo Segbefria (also more commonly known as “E”) with Dr. King:
A post shared by Chenoa Fund (@chenoafundofficial) on
You can read more about the event in the articles below:
Atlanta Daily World: Alveda C. King and Bishop Harry R. Jackson partner with Black History Month Homeownership Workshop
The Atlanta Voice: King and Jackson African American Homeownership must be a focus during Black History Month
Hey Batter Batter, Hey Batter Batter, SWING!
National VP of Program Development, Matt Pettit, and Founder, Todd Ludlow, spent some time in Arizona this week meeting with some of our largest lender partners, working on new programs that will help the state of Arizona and many others. We have made a few internal changes that have made these new programs possible, and we’re excited to begin rolling those out over the next 90 days.
For any baseball fans, we didn’t have time to make it to a spring training game, but we had some pretty great views of the three main fields in Arizona. Green has never looked better!
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